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INTRODUCTION:
On August 8, 2014, Judge Claudia Wilken of the United States District Court for the Northern District of California (the "Court") issued a decision in the case of O'Bannon v. NCAA. In short, the Court ruled that the National Collegiate Athletic Association's ("NCAA") rules prohibiting payment of compensation to student-athletes violate federal antitrust law as an unreasonable restraint on competition in the college education market. As such, the Court permanently enjoined the NCAA from enforcing certain of its rules as applied to Football Bowl Subdivision ("FBS") football and Division I men's basketball student-athletes, thus allowing institutions to begin compensating these student-athletes within the parameters established by the Court. Read More.
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